30) Avatar Com pany uses the indirect method to prepare the statement of cash flows....
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30) Avatar Com pany uses the indirect method to prepare the statement of cash flows. Refer to the following section of the comparative balance sheet: Avatar Company Comparative Balance Sheet December 31,2014 and 2013 2014 Accounts Payable Accrued Liabilities Long-Term Notes Payable Total liabilities $4,000 2,000 84,000 2013 Increase/decrease $(2,000) 1,000 $6,000 1,000 90,000 (6,000) 90,000$97,000 How will the change in Accounts Payable be shown on the statement of cash flows? A) as a deduction from investing cash flows C) as a deduction from Net Income B) as an addition to operating cash flows D) as an addition to Net Income 29) Which of the following sections of the statement of cash flows include activities that affect Net Income on the income statement? (Assume the indirect method is used.) A) the financing section B) the investing section C) the operating section D) the non-cash investing and financing
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